What Is Olympus (OHM)? How It Works & Where To Buy It

Olympus (OHM) is an algorithmically positioned protocol that utilizes the Olympus DAO, Olympus treasury, and features staking OHM to streamline the functionality of the protocol.

The OHM supply fluctuates and users can mint OHM, perform OHM trades, and simply utilize the Olympus Dao (OHM) ecosystem. The OHM price is determined by the market, and users can earn more OHM and LP tokens by completing various tasks.

OHM is currently the 133rd largest cryptocurrency by market cap.

 

How Olympus (OHM) Works

Olympus Finance (OHM) is a cryptocurrency characterized by market fluctuations but not its purchasing power. OHM is an algorithmic stablecoin, therefore its price is set by the market, but it’s not backed by dollars 1:1.

OHM is not bound to the dollar’s value, unlike other stablecoins. Instead, their treasury holds one DAI unit for every OHM token.

Staking is Olympus Finance’s profit-sharing mechanism. Staking OHM tokens will earn you sOHM tokens. To stake OHM tokens, utilize sOHM. These are tokens that can result in monetary gain; sOHM users get a cut of the revenues.

sOHM tokens can’t be sold or traded; the only way to benefit is to hold onto them. Keeping sOHM is the most profitable investment you can make due to Olympus Finance’s rebasing method. OHM begins rebasing after purchasing actual OHM units, not from scratch.

Rebasing generates and distributes new OHM coins to stakeholders.

How rebasing works:

1,000,000 OHM are bet, and 1,000,000 sOHM are spread as a hedge. Consider a procedure that yields a $10,000 profit, which is invested in 10,000 OHM. 1,000,010 OHM have replaced 1,000,000 sOHM. In this case, more sOHM is needed. So, sOHM has been rebased by 1%.

Bonding:

Bonds indicate your liquidity pool (LP) position in Olympus Finance’s ecosystem.

Bonds can be created by adding liquidity to OHM-DAI SushiSwap. You must swap LP for OHM now. This is “bonding.”

Bonding allows you to gain more OHM tokens than are ordinarily accessible. Yes, buying OHM tokens with LP bonds gets you a discount.

Users seeking more detailed information about the Olympus protocol can read through the whitepaper.

 

What Is Olympus (OHM) Used For?

OHM is 1:1 with DAI. Each OHM treasury token is associated with a DAI.

Protocol burns and mints tokens to maintain a market-determined price. When OHM goes below 1 DAI, particular units are removed and destroyed. If OHM value reaches 1 DAI, more are coined and sold.

The treasury always has DAI per OHM token. This means OHM’s worth won’t fall.

Because there should be one DAI per OHM token, the protocol makes money while buying or selling them. How? Because the method either gets or pays more than one DAI.

Olympus Finance also benefits from yield generators’ DAI tokens. The approach requires a little proportion of reserves regardless of the price differential.

Initial investors get 90% of the revenue. Olympus DAO will get 10%. DAI units support the OHM rewards. This preserves value.

OHM points can be understood as digital cash. You don’t want your money’s value to rise; you just want more. OHM storage provides additional units and value appreciation over time.

Some day-trade or swing-trade OHM seeking price fluctuations. This could be profitable, but it’s pretty risky.

 

Where To Buy Olympus (OHM)

OHM is available for purchase on most centralized cryptocurrency exchanges. However, you must first deposit currency into an exchange before you can buy OHM tokens on a centralized exchange. Your OHM digital wallet on the exchange will then be credited with OHM tokens.

You can purchase, trade, and store tokens at the crypto exchanges listed below:

1. Binance
2. Coinbase
3. KuCoin
4. Gate.io
5. Crypto.com

Users of centralized exchanges are required to demonstrate a comprehensive understanding of the associated risks before making any purchases of tokens on those exchanges. When someone saves their tokens on an exchange, it effectively indicates that they no longer have control over their private keys because the exchange is responsible for protecting them. This is due to the fact that the user’s tokens could be taken without their permission in the case that the exchange is hacked.

The tokens of most users are kept safe in some kind of wallet, whether it be digital or physical. You can choose from a number of various wallets available on the market that are meant to store tokens; the most well-known and dependable digital wallet is MetaMask.

 

FAQs About Olympus (OHM)

How long has Olympus (OHM) existed?

The OHM coin serves as the foundation for the Olympus protocol, which is a decentralized reserve currency. It began operations in May 2021 with the intention of constructing infrastructure for community-owned decentralized finance and bringing increased transparency and stability to the financial sector.

What’s controversial about Olympus (OHM)?

There is significant interest in the decentralized financial market from both retail and institutional investors. The sector is booming, and there are constant developments happening inside it, but due to its quick expansion and lack of oversight, it is open to abuse. Many of these flaws have resulted in millions of dollars in losses for clients over the past few years.

It’s important to always consider the reliability and relevance of the data you find while assessing a project. Before putting any of your money into a business that accepts cryptocurrency, you should do as much research as possible on the topic.

Let’s take a look at the biggest controversy surrounding Olympus (OHM).

• Competition – There has been a meteoric rise in interest in decentralized exchanges and DeFi over the past few years, particularly after the most recent bull run. Users are attracted to the market because of the availability of DeFi goods such as staking and liquidity pools, in addition to the noticeable absence of central authority and regulation. This makes it simple for users to participate in a variety of activities that were previously difficult or impossible to do.

  Recent developments include the emergence of multiple decentralized exchanges as well as decentralized stablecoins. This is in response to the recent rise in interest. Some of these platforms have already handled billions of dollars and have been successful in enticing hundreds of thousands of customers. When it comes to ventures like Olympus, it is extremely challenging to dominate a field that is filled with such intense competition.

  Unfortunately, a large number of people are of the opinion that the Olympus protocol’s rivals offer a superior product, which means that the Olympus protocol will have to continue to be inventive and provide its users with value proponents that are one of a kind.

How many Olympus (OHM) tokens are there?

At the time of writing, Olympus (OHM) has a circulating supply of 25,821,821 OHM 

The total supply of Olympus (OHM) is 27,569,423.

The max supply of Olympus (OHM) is 27,569,423.

Can Olympus (OHM) be mined?

Olympus (OHM) can’t be mined. Crypto token holders, on the other hand, have the opportunity to earn incentives by taking part in liquidity pools and a variety of other DeFi products.

Users should use caution when visiting websites that advertise themselves as offering OHM mining services. These websites are engaging in deceptive advertising, and users who do not exercise caution could put themselves at risk of suffering losses that are irreversible.

People using decentralized platforms have access to a variety of different ways to earn incentives using their cryptocurrency assets. Staking, farming, and LPs are all activities that users can begin participating in immediately upon connecting their digital wallets to the platform.

What is the market cap of Olympus (OHM)?

The market cap of Olympus (OHM) is the total amount of coins in circulation multiplied by the current OHM price.

Olympus (OHM) Market Cap = 25,821,821 x $11.60 = $299 million (133rd largest market cap).

The market cap is continuously fluctuating as the market changes.

 

Biggest Competitors Of Olympus (OHM)

The DeFi and the decentralized stablecoin sector is growing exponentially. After the recent decentralized exchange and DeFi boom, most projects, including Olympus DAO saw their biggest rise in adoption.

The biggest competitors of Olympus (OHM) are:

• USDT
• USDC
• USTC

 

What Are The Future Plans For Olympus (OHM)?

The protocol will make concerted efforts to attract a greater number of users to the platform. Both the decentralized exchange industry and the decentralized finance sector are experiencing rising levels of popularity.

Olympus is currently an established example of a decentralized protocol. In addition to this, the protocol will work on developing additional value proponents in the hopes of increasing the amount of exposure and adoption the project receives.

 

Pros And Cons Of Olympus (OHM)

Pros

• Algorithmically backed – Olympus is seen as one of the more interesting and credible products that utilize algorithmic stablecoins. The project has quickly grown to become a well-known protocol that has attracted thousands of DeFi enthusiasts globally.

Cons

• Competition – The DEX and DeFi markets are extremely competitive, and Olympus will have a difficult time continuing to establish itself as the dominant player in either market. This is due to the major competitors it’s up against that are actively working to increase their value proponents and exposure.